HK advertising spending surges to a record high
Aggressive campaigns last month in the property, cosmetics, jewellery and other retail sectors propelled advertising spending in Hong Kong to a new record high this year.
Media-monitoring firm admanGo estimated that advertising expenditure last month grew 15 per cent to reach HK$3.3 billion, up from HK$2.87 billion a year earlier.
'Advertisers escalated their ad budgets to target the rising number of mainland travellers visiting the city and the early celebration of the Lunar New Year holiday next month,' Jennifer Ma, the director of sales and marketing at admanGo, said.
That buoyant market sentiment helped the total amount of advertisement spending from January to November rise 16 per cent to an all-time high of HK$32.45 billion from HK$27.89 billion in the same period last year.
More than 90 per cent of advertising each month this year went to campaigns on television and in newspapers, magazines and outdoor media.
The city's banking and investment services industry remained at the top of the league last month, with campaigns totaling HK$328.46 million. This group, however, saw a 1 per cent year-on-year decline in advertisement spending due to a decrease in budgets for marketing credit cards and warrants.
Advertisers in the property industry registered the biggest jump in expenditure last month, with a 51 per cent year-on-year increase to HK$188.31 million. Ma said 65 per cent of that spending went to campaigns for residential properties.
The MTR, operator of Hong Kong's urban railway system and one of the biggest property landlords, was the city's No 1 advertiser last month.
The company spent HK$27.06 million, most of which went to help promote its latest residential-property joint ventures. These are Festival City 3 in Tai Wai and The Wings in Tseung Kwan O.
The cosmetics and skincare industry registered the second-highest year-on-year growth in advertising spending last month, up 37 per cent to HK$302.65 million. SK-II, a brand of consumer goods giant Procter & Gamble, led all advertisers in the cosmetics group, with campaigns totalling HK$24.37 million.
Advertisers in the jewellery, watches and luxury products group posted the third-highest year-on-year rise in advertising spending, up 34 per cent to HK$164.56 million.
Chow Tai Fook Jewellery led the sector with HK$17.55 million in advertising campaigns. The company, controlled by New World Development chairman Cheng Yu-tung's family, raised HK$15.75 billion in its initial public offering this month.
Spending by the retail group last month rose 22 per cent year on year to HK$161.31 million. Supermarket chain ParknShop was its industry's leading advertiser with campaigns totaling HK$25.46 million.